A defendant shall be punished by imprisonment for three years.

Punishment of the crime

In order to secure a stable amount of 100% or more of the profits, the Defendant would pay the amount of 20% or more of the profits, to the students of the school with trust knowledge of the Defendant’s educational background and experience, such as graduation from the department of prestigious management, foreign banks, and route-based economic reporters.

On May 31, 2013, 200, 25 million won from D, and 25 million won from E on June 9, 2013, began to make an investment in futures trading by receiving each initial investment payment.

1. The Defendant, in violation of the Act on the Aggravated Punishment, etc. of Specific Economic Crimes (Fraud) against the victim E, prepared an investment report stating false details concerning operating profit without any loss as he/she has invested the first investment amount of KRW 50 million in a futures trading in Dodong-gu Seoul Metropolitan Government, Gangnam-gu to the victim E, who is the same high school, in around June 2013 and February 2, 2014, and received high profit without any loss, at the same time, from the victim E, the Defendant would make an investment report stating false details concerning operating profit, and send it to e-mail. On the other hand, the Defendant would make an additional investment in the same way when he/she pays an additional investment amount to obtain

“A false representation was made.”

However, although the Defendant had already reported considerable loss of principal due to futures trading investment, he did not have any intention or ability to continue to distribute monthly profits or return the principal of investment to the victim because he had a plan to acquire personal profits under the pretext of fees, etc., by continuing to receive the continuous investment from many victims and paying the proceeds by preventing them from returning the proceeds.

Nevertheless, on November 20, 2013, the Defendant: (a) by deceiving the victim as above and deceiving the victim; (b) received an additional transfer of KRW 50 million from the Defendant’s bank account (F) on November 20, 2013 to the Defendant’s bank account; and (c) as shown in attached Table 1 re-statement 1.